With the growing penetration of renewable energy sources, ensuring the stability and reliability of Medium-Voltage Direct Current (MVDC) systems has become more critical than ever. A single fault in MVDC systems can cause significant disturbances, necessitating rapid and precise diagnostics to prevent equipment damage and maintain continuous power supply. In this work, we present a Bidirectional Gated Recurrent Unit (Bi-GRU) model that both classifies and locates MVDC faults. By capturing the temporal behavior of voltage signals, the Bi-GRU framework surpasses traditional algorithms such as Convolutional Neural Networks (CNNs) and Bidirectional Long Short-Term Memory (Bi-LSTM) networks. Furthermore, the proposed approach addresses multiple fault scenarios including PTP (Pole-to-Pole), PPTG (Positive Pole-to-Ground), and NPTG (Negative Pole-to-Ground) while preserving real-time diagnostic capabilities. In extensive tests, our model achieves an overall accuracy of 95.54% and an average fault detection time below 1.3 ms, meeting real-world operational requirements. To assess robustness, sensor noise was artificially introduced to emulate realistic conditions. Despite these challenging inputs, our method consistently maintained high diagnostic accuracy, confirming its practicality and reliability. Consequently, the proposed scheme demonstrates a significant contribution toward improving the safety and dependability of MVDC systems, even under noisy conditions.