I don't know about crafts, but the leaves can be dried for a very pleasant tea.

The Thai restaurant I like to frequent makes a lemongrass tea with muddled fresh lemongrass steeped in hot water.

FataMorgana

You can tie them into a bundle (perhaps with some rosemary sprigs) and add them to a bath - very good for the muscles if you've been digging ditches or running marathons all day.

For cooking, it's usually the white part that is used, not the green leaves, although they will give a pleasant flavour, and add some colour to a dish.

Why not chop some up (whites and green, or either) and freeze it - much better than drying.

You could also add bundles of the leaves to your final rinse water in the laundry, or make a tea of them and use it to wipe over kitchen and bathroom surfaces for a lovely fresh lemon-y aroma that could well be a deterrent for assorted insects.