Arab megalomaniac's not all there (5)
I believe the answer is:
omani
'arab' is the definition.
(Omani is an example)
'megalomaniac's not all there' is the wordplay.
'not all there' indicates a hidden word (only some of the letters are to be retained).
'OMANI' is hidden within 'megalomaniacs'.
(Other definitions for omani that I've seen before include "Gulf native" , "Eg, a native of Muscat" , "Middle Easterner" , "Naomi (anag) -- from Muscat?" , "Gulf Arab" .)