I notice there are no ambient sounds at all in the games
I have the music off....and when I load a game to the world map there is absolute silence

In MotBW I can see waves washing up on the shores of provinces....but I hear nothing
If I go to the construction screen or stores or library....complete silence
no ambient city sounds at all

Usually in a game like this there would be some kind of ambient sound from the world
but nothing at all in these games

Is that by design....or is there something wrong with my installs?

That's by design of Genesis.
You see, ambuent effects for computer are the same like music, only lenght differs.
You need to do cycles for every sound.
Due to it being old game, one man project, and having in mind hundreds of buildings with potential ambient sounds, it's obvious that hundreds of cycles would've hang up system.

Thanks Gremlion
I dont agree with your reasoning about "hundreds of cycles"
but I am grateful to know it is by design and not something wrong with my game