It's capital for me to be in the country! (5)
I believe the answer is:
yemen
'the country' is the definition.
(Yemen is an example)
'it's capital for me to be in' is the wordplay.
'it's capital for' becomes 'yen' (I can't justify this - if you can you should give a lot more credence to this answer).
'to be in' is an insertion indicator.
'yen' placed around 'me' is 'YEMEN'.
Can you help me to learn more?
(Other definitions for yemen that I've seen before include "Arabian republic, capital Sanaa" , "Middle Eastern country" , "Country to south of Saudi Arabia" , "Middle East country" , "Arab country" .)