Article babu hid travelling in capital (3,5)
I believe the answer is:
abu dhabi
'capital' is the definition.
(capital of the United Arab Emirates)
'article babu hid travelling' is the wordplay.
'article' becomes 'a' (the indefinite article in English).
'travelling' indicates an anagram.
'babu'+'hid'='babuhid'
'babuhid' is an anagram of 'budhabi'.
'a'+'budhabi'='ABU DHABI'
'in' is the link.
(Other definitions for abu dhabi that I've seen before include "foreign land" , "M East country" , "Federal capital of the United Arab Emirates" , "Arab state" , "Persian Gulf emirate" .)