The correct option is B The Maoist party refused to participate in the elections.
Elections in Nepal were to be held in June 2007 but were postponed several times mostly because the Maoist Party refused to participate. They wanted the immediate dissolution of the monarchy. Finally, in December 2007, it was agreed that monarchy would be abolished. The long-awaited elections were then held in April 2008.
Nepal had a monrachical form of government for a long time before 2007.