The song received strongly positive responses from critics, and it was frequently cited as the highlight of the album. Phil Sutcliffe in "Sounds" magazine said the song was "so honest you might even risk calling it truth". Music website AllMusic called "Biko" a "stunning achievement for its time", and went on to say that "It's odd that such a bleak song can sound so freeing and liberating". Writing in 2013, Mark Pedelty would say that "Biko" "stood out for its unusual instrumentation (bagpipes and synthesiser), haunting vocals, and funerary chant," and credited Gabriel with doing a "masterful job of creating catalytic imagery and getting out of the way". Music scholar Michael Drewett wrote that the lyrics skillfully engaged the listener by moving from a specific story to a call for action.