Hello @Dilusha Priyantha Karunarathna ,
Thank you for reaching out. I assume you are following the template listed on following document which blocks access from untrusted location: https://learn.microsoft.com/en-us/azure/active-directory/conditional-access/howto-conditional-access-policy-location.
However, if you would like to prompt for MFA than you can make change in Grant Controls section of your Policy. In Grant controls instead of selecting block access you can select Grant >> Require MFA. These users logging in from Untrusted location would be requested to complete MFA and users logging in from trusted location would be allowed without MFA.
Details about Grant Controls can be found on following link: https://learn.microsoft.com/en-us/azure/active-directory/conditional-access/concept-conditional-access-grant
I hope this helps and hence would request you to please "Accept the answer" if the information helped you. This will help us and others in the community as well.