After running susecloud-repocheck tool (sc-repocheck.py) ( available at https://github.com/rfparedes/susecloud-repocheck), it automatically fixed the issue.
Info from the above link:
To autofix, report, and collect debugdata
If you have outbound https opened on the instance, from the instance, run:
python3 <(curl -sL https://raw.githubusercontent.com/rfparedes/susecloud-repocheck/main/ccccc)
Or download and transfer the script to the instance:
https://raw.githubusercontent.com/rfparedes/susecloud-repocheck/main/sc-repocheck.py
Then run:
python3 sc-repocheck.py