Capital city, south of Iowa (5)

I believe the answer is:

sofia

'capital city' is the definition.
(I've seen this before)

'south of iowa' is the wordplay.
'south' becomes 's' (abbreviation).
'iowa' becomes 'IA' (abbreviation).
's'+'of'+'ia'='SOFIA'

(Other definitions for sofia that I've seen before include "Bulgarian capital" , "seat of government" , "Bulgarian city" , "capital city" , "European city" .)

I've seen this clue in The Telegraph.

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