BAKU: The European Union on Saturday (November 23) increased the offer from rich countries to help poor countries most affected by climate change to $300 billion per year, in a bid to save negotiations that developing countries predicted that they were on the verge of collapse.

Negotiators worked through the night in a windowless stadium in the Caspian city of Baku, searching for a compromise as two-week U.N. climate talks dragged on into an extra day.

In what is set to be the hottest year on record, developing countries are bearing the brunt of growing drought and disasters. on Friday rejected an initial offer of $250 billion per year by 2035.

Two negotiators said the EU was urging rich countries – which also include the United States, Britain and Japan – to increase that sum to $300 billion.

But this came with conditions in other parts of the broader climate deal under discussion at COP29 conference in Azerbaijan, the negotiators added.

Europeans particularly want an annual review of global efforts to phase out fossil fuels, the main drivers of global warming.

The proposal was opposed by Saudi Arabia, which sought to water down the historic pledge to abandon oil, gas and coal made at COP28 last year.

Irish Climate Minister Eamon Ryan said he was “hopeful” to reach a deal, but a clearer picture would emerge later today when new text was expected.

“We need to reach an agreement. It’s really important that we give hope to the world, that multilateralism can work and that we respond to the climate crisis,” Ryan told AFP.

He said there was recognition of the need to provide more money to developing countries, “but we also need to stop the advance of fossil fuels.”

Ali Mohamed, president of the African Group of Negotiators, told AFP there had been “good discussions” on financing after the initial offer of $250 billion, which he called “a great mockery “.

He added that developing countries had made it clear that a lack of movement would “lead to the failure of the COP.”

“No deal is better than a bad deal,” he said.