Cannot share folders between macOS host and guest OS on new VM

I have the latest Parallels Desktop Pro edition (20.2.2) and the latest Sequoia (15.4) on my host OS.

I tried creating a new Sequoia guest OS using the normal process. This works fine.

What does NOT work is that I cannot share folders between the guest and host OS.

I have installed Parallels tools on the guest after the install, and I have clicked on "Share custom folders with macOS" in the preferences from the guest VM. I have a "Parallels Shared Folders" icon on the desktop, and a /Volumes/SharedFolders directory. But I do not get the sharing icon in the upper right corner of the guest VM window, and no folders appears under /Volumes/SharedFolders.

What does NOT work:

• Trying a new VM (done several times, no changes)
• Reinstalling Parallels Tools (done several times, no changes)

Does anyone have any ideas?

 

Similar problem that is really a blocker ...

Using Parallels Desktop for Mac Version 20.3.0 on an Ubuntu 24.04 vm.
Shared folders are created and are visible in the guest VM but are hopelessly empty and do not reflect the contents of what's in the associated host folder.
Also tried reinstalling Parallels Tools several times, even tried with the CLI (prlctl).

This worked perfectly well in previous versions of Parallels desktop (with previous versions of the tools and on a 22 version of Ubuntu).

Anybody?