Belgian city for example in fiction (5)
I believe the answer is:
liege
'belgian city' is the definition.
(I've seen this before)
'example in fiction' is the wordplay.
'example' becomes 'eg'.
'in' indicates putting letters inside.
'fiction' becomes 'lie' (I've seen this before).
'eg' going into 'lie' is 'LIEGE'.
'for' acts as a link.
(Other definitions for liege that I've seen before include "European university" , "Faithful," , "World War one battle site" , "Vassal, subject" , "Belgian city or feudal chief" .)