According to the Internet Movie Database, Agrabah is the fictional kingdom in which the film Aladdin is set. The Disney Wiki specifies that it is located near the Jordan River in the Middle East. It is also a playable location in Disney's Kingdom Heart video games, according to Giant Bomb.
The main feature of Agrabah is the kingdom's palace, which is based off of the real-life Taj Mahal found in India. The Sultan lives in the palace, along with his daughter Jasmine, and rules Agrabah. The fictional kingdom is based off of the style and culture of the Middle East.