Transparency International conducted a survey of around 2012 countries in the year 2012 based on the corruption perception index. The purpose of this survey was to analyse the corruption as perceived across the sampled countries. Of the 178 countries that were included in the survey, it was established that China ranked 3.5 in corruption perception index and was the 80th country on the same level as countries like Serbia, Trinidad and Tobago. The corruption levels in China are hence similar to the corruption levels seen in countries like Trinidad, Serbia and Tobago. Another survey showed that China was the fourth lowest ranking country when it comes to battling corruption, and was next to countries like India, Russia and Argentina. The levels of corruption in the country pose a significant threat to the country. It could challenge the inequality levels in the country and the political stability of the country, its sustainable development ventures and its foreign collaborations in commerce. China’s Gini coefficient is already around 0.47 and could reach a 0.5 threshold which indicates extreme state of inequality and in this context, without immediate action at improving in corruption handling efforts at a transactional level with focus on internal enforcements, the situation could escalate. The widening wealth gap is mainly because of illegal income and systemic corruption in the country.