Wild hen flies around eastern capital (3,5)
I believe the answer is:
new delhi
'capital' is the definition.
(New Delhi is an example)
'wild hen flies around eastern' is the wordplay.
'flies' is an anagram indicator.
'around' indicates putting letters inside.
'eastern' becomes 'e'.
'wild'+'hen'='wildhen'
'wildhen' with letters rearranged gives 'nwdelhi'.
'nwdelhi' placed around 'e' is 'NEW DELHI'.
(Other definitions for new delhi that I've seen before include "Gambling establishments" , "Asian capital city" , "Indian capital city" , "End while in India, oddly" , "It's novel in India" .)