Because, while crime is high, and power is intermittent, it is not bad enough to make me give up my 700sqm house on a 2000sqm plot in a (somewhat safe) suburb close to everything, to live elsewhere in about a quarter of the space.
Every time I look at emigrating I face a large drop in my standard of living if am in a similar role in any high-paying area in the US or UK.
Entertaining guests, large extended family, having enough space for both a pool table and a ping-pong table indoors, nice to have dedicated study (came in handy during pandemic), bedrooms are very generous so get used for more than sleeping (e.g. MiL's b/room has all her hobbies in it, jigsaw tables, crafts, etc).
People watch TV and kids play games, and they never disturb each other.
Large space is a component of standard of living; when I talk to people who've never lived in a large space, they can't imagine how their life would be improved by a large space.
Asking people "Why do you need a large house?" is like asking people "why do you need an SUV?[1]"
[1] The SUV is, IIRC, the most popular class of car sold in many countries (excluding commercial vehicles). People like nice things. I like nice houses.
700 sqm sound like an endless dusting and cleaning chore to me, unless you can afford to have servants.