Can't limit memory for nested container about podman-static

[mgoltzsche]

Why memory limit is ignored when using minimal tag image?

Because the minimal image is configured to use the host's cgroup namespace instead of creating a new one for the container, see here. (For this reason the minimal image comes with crun instead of runc as container runtime.) This is to be able to run containers within environments where you don't have permissions to create new namespaces, e.g. within another container.
Thus, if you want to set resource limits, you need to use the non-minimal image (or use its containers.conf with the minimal image).