The accelerating realization of climate risks poses a challenge for financial institutions, requiring them to adapt their risk management systems to take into account both physical and transition risks. This paper examines the evolving role of financial technology (fintech) in assessing and managing climate risks in the financial sector. The study aims to (i) clarify the nature and classification of climate risks in a financial context, (ii) explore how fintech solutions enable the integration of climate data, scenario analysis tools and portfolio alignment into financial institutions’ risk management systems. From a methodological perspective, the paper provides a structured literature review with a focus on the interplay between climate finance and digital technologies. It identifies key barriers to effective climate risk assessment, such as data fragmentation, model uncertainty and limited comparability, and presents fintech-based innovations that address these gaps. Particular attention is paid to scenario analysis, financed emissions assessment and forward-looking portfolio diagnostics, where fintech enables more scalable, automated and data-rich approaches. This paper aims to bridge the gap between climate risk assessment frameworks and practical technology solutions. It shows how fintech is not only enabling climate risk management but also creating new opportunities for transparency, accountability and regulatory alignment. These findings are important for financial institutions, regulators and fintech developers seeking to future-proof risk management frameworks in a climate-constrained economy.