Idyllic spot in Sudan axed following setback (6)

I believe the answer is:

xanadu

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'idyllic spot' is the definition.
I don't know anything about this answer so I can't judge whether this works.

'in sudan axed following setback' is the wordplay.
'in' says the answer is hidden in the clue.
'setback' is a reversal indicator.
'udanax' is hidden in the letters of 'sudan axed following'.
'udanax' in reverse letter order is 'XANADU'.

Can you help me to learn more?

(Other definitions for xanadu that I've seen before include "Where Kubla Khan decreed a pleasure dome" , "Fabled wonderful place" , "pleasure centre?" , "Where Coleridge's Kubla Khan lived" , "Imaginary wonderful place" .)

I've seen this clue in The Guardian.

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