AWS: s3 bucket policy does not give IAM user access to upload to bucket, throws 403 error

I have an S3 bucket that works perfectly with root credentials (AWS_ACCESS_KEY_ID and AWS_SECRET_ACCESS_KEY) to upload files to the bucket.

I have created an IAM user.
I tried to give this IAM user the privilege of uploading files to this bucket by creating this policy and attaching it to that bucket:

{
    "Version": "2012-10-17",
    "Statement": [
        {
            "Sid": "Statement2",
            "Effect": "Allow",
            "Principal": {
                "AWS": "arn:aws:iam::122xxxxxxxx28:user/iam-user-name"
            },
            "Action": "s3:*",
            "Resource": "arn:aws:s3:::bucket-name"
        }
    ]
} 

However, when I try to upload a file, I get this error:

> PUT
> https://bucket-name.s3.region-code.amazonaws.com/images/60ded1353752602bf4b364ee.jpeg?Content-Type=image%2F%2A&X-Amz-Algorithm=AWS4-HMAC-SHA256&X-Amz-Credential=AKIARZARRPPIBMVEWKUW%2F20220128%2Feu-west-3%2Fs3%2Faws4_request&X-Amz-Date=20220128T123229Z&X-Amz-Expires=300&X-Amz-Signature=dfdc3d92f6e52da5387c113ddd793990d1033fdd7318b42b2573594835c01643&X-Amz-SignedHeaders=host%3Bx-amz-acl&x-amz-acl=public-read
> 403 (Forbidden)

This is how the upload works:

1. I generate a presigned-url in the backend:

var getImageSignedUrl = async function (key) {
  return new Promise((resolve, reject) => {
    s3.getSignedUrl(
      "putObject",
      {
        Bucket: AWS_BUCKET_NAME,
        Key: key,
        ContentType: "image/*",
        ACL: "public-read",
        Expires: 300,
      },
      (err, url) => {
        if (err) {
          reject(err);
        } else {
          resolve(url);
        }
      }
    );
  });
};

2. Then the file is uploaded in the frontend using that url:

await axios.put(uploadConfig.url, file, {
    headers: {
      "Content-Type": file.type,
      "x-amz-acl": "public-read",
    },
    transformRequest: (data, headers) => {
      delete headers.common["Authorization"];
      return data;
    },
  });