First, thank you for your review and suggestion. The countries that are generated are real, but about the cities you are right, they are not.
On my list of "Cool stuff that would be nice to have implemented at some point in the future", there is a section where you will be able to edit the database of names that are used to generate the data, but I cannot tell right now when it will be fully implemented.
However, I can help you overwrite the City generator and make it generate real city names. Just send me an email and we'll fix it.
