I wish to render text with transparent/translucent background (or no background) over other gtk widgets like GtkImage or GtkButton etc. Primary goal is to have text display
You can do it with GtkOverlay widget (Gtk+ 3.2 at least)
GtkOverlay — A container which overlays widgets on top of each other
http://developer.gnome.org/gtk3/stable/GtkOverlay.html