Zafar, the evil vizier of Baghdad, is dead. Aladdin and Yasmine have defeated him, and everyone is happy again.
Aladdin proposes to Yasmine on Lovers' Day, and she accepts. He goes to Egypt to get an engagement gift for her. While there, he befriends Hamid, a charming and lively musician-poet. Hamid accompanies him to Baghdad, and is quickly drawn to Mohsina, one of Yasmine's handmaidens. Both of them fall in love, much to happiness of everyone in the palace.
When Yasmine's mother Mehrunissa sends them a letter telling that she is returning, everyone starts preparing to welcome her. But they do not know that Zeher, Zafar's sister, has gone mad wants to avenge her brother's death.
When the wicked witch wants to ruin their perfect day, can Aladdin and Yasmine, along with their friends, manage to defeat her?