Bandleader with Aussie singer in South American republic (7)

I believe the answer is:

bolivia

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'south american republic' is the definition.
(I've seen this before)

I cannot understand how the rest of the clue works.

Can you help me to learn more?

(Other definitions for bolivia that I've seen before include "South American country where Che Guevara was killed" , "Landlocked South American country" , "High S. Amer. country" , "South American country, capital La Paz" , "faraway land" .)

I've seen this clue in the Sydney Morning Herald.

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