Nonlinear constrained state estimation is an important task in performance monitoring, online optimization and control. There has been recent interest in developing estimators based on the idea of unscented transformation for constrained nonlinear systems. One of these approaches is the unscented recursive nonlinear dynamic data reconciliation (URNDDR) method. The URNDDR approach follows the traditional predictor-corrector framework. Constraints are handled in the prediction step through a projection algorithm and in the correction step through an optimization formulation. It has been shown that URNDDR produces very accurate estimates at the cost of computational expense. However, there are two issues that need to be addressed in the URNDDR framework: (i) URNDDR approach was primarily developed to handle bound constraints and needs to be enhanced to handle general nonlinear equality and inequality constraints, and (ii) computational concerns in the application of the URNDDR approach needs to be addressed. In this paper, a new estimation technique named constrained unscented recursive estimator (CURE) is proposed, which eliminates these disadvantages of URNDDR, while providing estimates with almost the same accuracy. © 2012 Elsevier Ltd. All rights reserved.