Guido has a good explanation of this here. Here's the most relevant part:
I have never considered Python to be heavily influenced by functional languages, no matter what people say or think. I was much more familiar with imperative languages such as C and Algol 68 and although I had made functions first-class objects, I didn't view Python as a functional programming language. However, earlier on, it was clear that users wanted to do much more with lists and functions.
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It is also worth noting that even though I didn't envision Python as a functional language, the introduction of closures has been useful in the development of many other advanced programming features. For example, certain aspects of new-style classes, decorators, and other modern features rely upon this capability.
Lastly, even though a number of functional programming features have been introduced over the years, Python still lacks certain features found in “real” functional programming languages. For instance, Python does not perform certain kinds of optimizations (e.g., tail recursion). In general, because Python's extremely dynamic nature, it is impossible to do the kind of compile-time optimization known from functional languages like Haskell or ML. And that's fine.
I pull two things out of this: