Observe girl going round northern country (7)
I believe the answer is:
senegal
'country' is the definition.
(Senegal is an example)
'observe girl going round northern' is the wordplay.
'observe' becomes 'see' (I've seen this before).
'girl' becomes 'gal' ('gal' can be a synonym of 'girl'**).
'going round' means one lot of letters goes inside another.
'northern' becomes 'n' (abbreviation e.g. N. Ireland).
'see'+'gal'='seegal'
'seegal' going around 'n' is 'SENEGAL'.
(Other definitions for senegal that I've seen before include "Former French colony in Africa" , "French-speaking west African republic" , "Nel ages here in Africa" , "Sea glen in the African state" , "West African country" .)