Country taking part in formal talks (5)
I believe the answer is:
malta
'country' is the definition.
(I know that Malta is a country)
'part in formal talks' is the wordplay.
'part in' indicates the answer is hidden within the clue.
'MALTA' is hidden in the letters of 'formal talks'.
'taking' acts as a link.
(Other definitions for malta that I've seen before include "Island nation" , "defiant island in WW2" , "Island to the south of Sicily" , "detached dwelling place" , "Mediterranean island, capital Valletta" .)