SSH freezes on pledge: network

I am trying to connect with server with SSH using ProxyJump. So basically I'm trying to reach target server through bastion host. Fallowing setup works on my local OSX machine but I cannot configure it on the remote Ubuntu 20.04 server. Is stops on debug1: pledge: network even though before I can see log saying debug1: Authentication succeeded (publickey). Additionally, I cannot modify target server settings.

Here're step I've taken:

1. apt install -y openssh-client

2. Put this into ssh config file:

    Host bastion
      Hostname 11.111.11.11
      User the_user
      IdentityFile ~/.ssh/bastion
      IdentitiesOnly yes
      ForwardAgent yes
   
    Host target_server
      Hostname target_server
      User the_user
      ProxyJump bastion
   

3. Placed bastion private key in ~/.ssh and public in target server

4. chmod 400 [private_key]

5. eval ssh-agent -s

6. ssh-add procano-servers

7. ssh target_server

I cannot go into the server and it is a big blocker for me. Thank you for helping.

[EDIT]: Although I cannot change sshd_config I can read it:

LogLevel VERBOSE
XAuthLocation   /usr/bin/xauth
KexAlgorithms diffie-hellman-group-exchange-sha256,diffie-hellman-group-exchange-sha1,diffie-hellman-group14-sha1
PermitUserEnvironment yes
PasswordAuthentication no
PermitRootLogin no
UsePAM yes
X11Forwarding yes
TCPKeepAlive yes
ClientAliveCountMax 3
ClientAliveInterval 200
Subsystem sftp internal-sftp -l VERBOSE
AddressFamily any
PrintMotd yes
Match Host xxx-*.XXX.com User root
        KbdInteractiveAuthentication no
        PermitRootLogin without-password
Match User root
        KbdInteractiveAuthentication no
        PermitRootLogin no