Why don’t major Western banks open branches in Muslim countries?

Ummmm... Ai said it more succinctly than I could.

"Islam strictly prohibits loan interest, known as riba, viewing it as exploitative and unjust. Both paying and receiving interest are forbidden under Sharia law, regardless of the interest rate. Muslims instead use risk-sharing and profit-and-loss models for financial transactions."

Definition: Riba means any predetermined or guaranteed extra return on a loan that is not tied to real economic effort or risk.Prohibition: The Quran and Hadith strongly condemn it, considering it a major sin because it increases wealth without productive work and causes social inequality. Included Items: Conventional bank loans, mortgages, credit card interest, and savings account interest are generally classified as prohibited (haram)

"The laws against riba originated in 7th-century Arabia to dismantle an exploitative pre-Islamic tribal credit system known as Riba al-Jahiliyyah. In this system, lenders trapped poor debtors, farmers, and traders in compounding debt cycles that frequently resulted in slavery or the loss of all property."

Look at it as usury laws taken to the logical endpoint. Apparently Arabs had a run in with money lenders putting the screws to them around the time Mohammed was surfing the sand dunes. This was the social reform that ended that predatory practice. I can't say I disagree with the Quran in this instance. Well done Islam!

If Western banks want to operate in Muslim countries, they are gonna need to come up with a risk sharing of profits and losses model that will fit the Islamic ban on Riba.

Banking rules and regulations vary from country to country. Most banks only do business where the rules and regulations are consistent. Muslim countries have different rules, as well as different legal systems, which increases a bank's effort and risk if it wants to do business there.

It's pretty hard to find any bank out of its own country. I have accounts with Chase and Wells Fargo in the United States, I have seen Chase Banks internationally, but these are deceptive, they're not normal banks, they are for only high paying clients, construction projects etc.

Honestly, I can't think of a time that I've seen a bank in the United States outside of the United States, I don't even know about Canada.

major Western banks maintain a massive presence in Muslim-majority nations, particularly in financial hubs across the Middle East like Dubai, Riyadh, Abu Dhabi, and Doha and Southeast Asia like Malaysia and Indonesia

Usury is unlawful in Islam?